iPhone 14 Pro supply constrained, Apple expected to ship 9M fewer iPhones in current quarter

Apple will ship 9 million fewer iPhones in the current holiday quarter. The drop in shipment predictions has more to do with supply than demand. The iPhone 14 Pro models are still some of the most popular smartphones around the globe right now. But, this also means that their supply is the most constrained.

iPhone 14 Pro - samsung

Apple is still unable to meet the growing demand for the iPhone 14 Pro and iPhone 14 Pro Max

Apple is still dealing with the after-effects of COVID lockdowns in China. The lockdowns had a significant impact on production. Now, in reference ongoing holiday season, Apple cannot keep up with the growing demand for the iPhone 14 Pro and Pro Max as supply is constrained. Earlier in November, Apple even released a statement confirming that it is expecting lower shipments for the iPhone 14 Pro models.

We continue to see strong demand for iPhone 14 Pro and iPhone 14 Pro Max models. However, we now expect lower iPhone 14 Pro and iPhone 14 Pro Max shipments than we previously anticipated and customers will experience longer wait times to receive their new products.

Now, even though COVID lockdowns in Shanghai and Zhengzhou have ended and Apple’s main iPhone assembler Foxconn is free to resume regular production, iPhone 14 Pro supply remains constrained. Although lead times for the iPhone 14 lineup have slightly improved, globally, customers interested in purchasing the Pro models will have to wait at least 3 weeks to receive the device.

iPhone 14 Pro new colors

With the ongoing situation in mind, Morgan Stanley is dropping its iPhone shipments production by an additional 3 million units in the fourth quarter of 2022. The total prediction of iPhone shipments in the ongoing quarter is now 75.5 million, down from 85 million units.

“By now it’s well understood by investors that the Dec Q will be challenged due to iPhone supply shortages, and therefore the most important near-term debate is really how much of the lost demand from December is perishable vs. deferrable,” Morgan Stanley shared in the note. “We believe demand for the iPhone 14 Pro/Pro Max remains solid, supporting the view that lost demand in December is more likely to be deferred into March than destroyed.”

Despite a decrease in shipments, Apple is still expected to report strong revenue for Q4, 2022. The recent production issues will likely only result in a 3% loss for the tech giant.

About the Author

Asma is an editor at iThinkDifferent with a strong focus on social media, Apple news, streaming services, guides, mobile gaming, app reviews, and more. When not blogging, Asma loves to play with her cat, draw, and binge on Netflix shows.

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